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With all this talk about CPC being able to circumvent 5/24, this got me interested.

I understand the requirement is $250K in investments.
That's not a problem - but I am a buy&hold passive low-fee index fund investor.  Would I be able to transfer assets in kind and leave them there without any AUM or management fees?

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Yes, transfer in kind - leave and enjoy CPC

stevento said:   and leave them there without any AUM or management fees ?without any yearly or other fees ?

+1 to the question.

Tempted to move Ira assets for this. Will they just constantly pester me with sales calls and pleas to get me into high-fee products?

a single 100k offer isn't worth the trouble but a lifetime of chase offers are.

My understanding is that even if you

1) Have a non-chase investment account with 250k in SPY or some index fund
2) Do a in-kind transfer to chase
3) Keep the money in the same index fund

you still have to pay the AM fees.

Can someone please confirm that my understanding is correct?

This is a non-starter. I didn't realize the annual fee is 125bp. That's $3125 on the minimum $250k. The free banking stuff isn't worth anywhere close to that.

TravelerMSY said:   This is a non-starter. I didn't realize the annual fee is 125bp. That's $3125 on the minimum $250k.
  how much is waiving 5/24 worth to you?

Less than $3125

Maybe if it included commission-free trading.

The sweet spot is the fact that it extends private client to your spouse and other family members. So if you're whacking Chase on 100k offers and fee waivers x4 it could be justified.

ssgcinty said:   My understanding is that even if you

1) Have a non-chase investment account with 250k in SPY or some index fund
2) Do a in-kind transfer to chase
3) Keep the money in the same index fund

you still have to pay the AM fees.

Can someone please confirm that my understanding is correct?

  No, this is incorrect.

There is no AM fee if you don't have any managed assets. Moving stock there in-kind from somewhere else avoids any fees. They don't like you doing it and will call you periodically to try to sell you on managed assets, but I've been CPC for quite a while with assets transferred from Vanguard and no fees.

Are you absolutely sure?

gergles, if that is true, it is yuuuuge.
I am salivating already.

I've had the account open over 6 months, so should have at least one quarterly fee hit.

The only transactions in my account are the received shares from Vanguard and 2 dividend reinvestments.

The only notable downside is that they appear to have lost my detailed cost basis information from Vanguard and instead they applied a weighted average cost basis per share to the transferred shares. They might still have the information and I just can't see it, but I'm hoping that when I eventually transfer the shares back out and sell that the correct info will go along for the ride, or that Vanguard will let me provide it to them (I made a copy of all my transactions from them before I transferred any shares out.)

Commission is high but I won't use the account for trading. It literally is just a place to park some Vanguard money and get CPC.

That is exactly what I will use it for (and so will many other FWFers)



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